Consumers frequently use credit to make purchases. For example, a consumer may purchase goods or services from a merchant using a line of credit that may be accessed by presenting a credit card to the merchant. A consumer may also make high-priced purchases using various types of loans, such as a mortgage, auto loan, or consumer loan. All of these loans, also referred to as “credit,” are generally approved by a financial institution based on the requesting consumer's credit history. For example, the level of credit granted to a consumer depends on the level of financial responsibility demonstrated by the consumer's credit history. Because credit transactions are convenient and pervasive in today's economy, it is important for most consumers to have the ability to obtain credit by establishing and maintaining a good credit history.
Good credit history generally comprises a pattern of responsible credit use. However, one cannot establish such a pattern without first obtaining credit, which generally requires a good credit history. Thus, establishing good credit history may be difficult for consumers with no or bad credit history. For example, a student having no credit history may have difficulty establishing a pattern of responsible credit use because the student may not be able to obtain credit to establish such a pattern. In some cases, such consumers may be eligible for only a limited amount of credit, which may be inconvenient in certain financial emergencies.